Title 70A Uniform Commercial Code Chapter 3 Uniform Commercial Code - Negotiable Instruments Section 118 Statute of limitations.
70A-3-118.Statute of limitations.
(1) Except as provided in Subsection (5), an action to enforce the obligation of a party to
pay a note payable at a definite time must be commenced within six years after the due date or
dates stated in the note or, if a due date is accelerated, within six years after the accelerated due
date.
(2) Except as provided in Subsection (4) or (5), if demand for payment is made to the
maker of a note payable on demand, an action to enforce the obligation of a party to pay the note
must be commenced within six years after the demand. If no demand for payment is made to the
maker, an action to enforce the note is barred if neither principal nor interest on the note has been
paid for a continuous period of 10 years.
(3) Except as provided in Subsection (4), an action to enforce the obligation of a party to
an unaccepted draft to pay the draft must be commenced within three years after dishonor of the
draft or 10 years after the date of the draft, whichever period expires first.
(4) An action to enforce the obligation of the acceptor of a certified check or the issuer of
a teller's check, cashier's check, or traveler's check must be commenced within three years after
demand for payment is made to the acceptor or issuer, as the case may be.
(5) An action to enforce the obligation of a party to a certificate of deposit to pay the
instrument must be commenced within six years after demand for payment is made to the maker,
but if the instrument states a due date and the maker is not required to pay before that date, the
six-year period begins when a demand for payment is in effect and the due date has passed.
(6) An action to enforce the obligation of a party to pay an accepted draft, other than a
certified check, must be commenced within six years after the due date or dates stated in the draft
or acceptance if the obligation of the acceptor is payable at a definite time, or within six years
after the date of the acceptance if the obligation of the acceptor is payable on demand.
(7) Unless governed by other law regarding claims for indemnity or contribution, an
action for conversion of an instrument, for money had and received, or like action based on
conversion, for breach of warranty, or to enforce an obligation, duty, or right arising under this
chapter and not governed by this section must be commenced within three years after the cause of
action accrues.
Repealed and Re-enacted by Chapter 237, 1993 General Session
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